Vietnam’s prominent technology company, FPT, has launched a subsidiary, FPT Automotive, in Texas, announcing a $100 million global expansion plan to cater to clients such as Hyundai and Honda. FPT Automotive, supported by FPT’s software division, is part of the country’s largest listed tech company, specializing in AI, cloud, big data services, and expanding into chip design and education. The CEO of FPT Software, Pham Minh Tuan, revealed plans for a minimum investment of $100 million over the next five years, prioritizing key markets like the United States, Europe, Japan, South Korea, China, India, and Vietnam.
While emphasizing global expansion, FPT’s chairman stated that there are currently no immediate plans to go public overseas for fundraising. The automotive industry has experienced a shift towards software-defined vehicles for enhanced safety, flexibility, and user experience. FPT Automotive aims to keep pace with these technological advancements, with a focus on the U.S. establishment to tap into the latest developments while serving a global customer base.
FPT Automotive already serves notable automakers such as Hyundai, Honda, Volvo, and Vietnam’s electric vehicle manufacturer VinFast. The company envisions becoming a billion-dollar automotive services and products provider by 2030, employing development strategies that include acquisitions and partnerships with industry leaders. Boston Consulting Group estimates that software-defined vehicles will contribute over $650 billion in value to the automotive industry by 2030, constituting 15% to 20% of the sector’s total value.
